Terms & Conditions
Terms & Conditions
For Mutual Fund Investments through MFDs
When investing through Mutual Fund Distributors (MFDs), investors need to understand the following terms and conditions:
Net Asset Value (NAV)
The value of mutual fund units is based on the applicable NAV, which fluctuates based on market conditions.
Commissions and Fees
Distributors may receive commissions (upfront, trail, or otherwise) from Asset Management Companies (AMCs). These should be transparently disclosed to the investor.
Entry and Exit Loads
Some mutual fund schemes may charge entry (at the time of purchase) or exit loads (at the time of redemption). Investors should be informed about these charges beforehand.
Execution-Only Platform
MFDs may offer an execution-only platform, meaning they execute transactions without providing investment advice.
KYC Compliance
Investors must complete the Know Your Customer (KYC) process before investing.
Right to Information
Investors have the right to receive all relevant information about the mutual fund schemes, including scheme information documents, key information memorandums, and periodic statements.